When we hear the word “churn”, we typically know what it means: we've lost a customer.
Churn is an aspect of any business owner's life, whether we like it or not.
However, it does not have to keep you up at night.
While it is difficult to completely eradicate churn, it is possible to reduce it.
So how do you reduce churn for your SaaS business? Let’s go through the 3 best strategies:
- #1 Welcome your customers with a personalized video
- #2 Solve your customer problem
- #3 Talk to your customers before they churn
Don't like to read? Relax! We prepared a video for you! 😁
#1 Welcome your customers with a personalized video
First impressions are everything!
First impressions are very important whether you're on a date, or at a job interview.
But making a good first impression isn't always easy.
Because you don't always have the opportunity to show your vision to your new customers, they don’t see you, they don’t see your leadership, they don’t see your passion, you must rely on your product and the first customer experience to do that for you.
But, what you can do is send your customers a personalized video to welcome them and ask why they signed up for your product. It will show them that you’re human with a vision and that you care. That you want to help them achieve their goals.
It will help you build trust. And as you know trust is sales.
If you're wondering on how to create personalized videos at scale and engage with your customers, you can try Vuzers for free.
#2 Solve your customer problem
What is the number one reason people churn?
Your product doesn’t solve your customer's problem.
I'm sure there are a million other little factors that contribute to churn, but this is the main reason people leave.
With so much competition in every market, you need to be sure you’re solving your customer's problem and that you solve it better than anybody else.
This is why you need to listen and talk to your customers on a regular basis, collect feedback and get insights.
If you want to be fully customer-centric, make sure to read our post 5 Ways You Can Build a Customer-Centric Culture.
So you can understand their needs and build a product they love.
#3 Talk to your customers before they churn
How can you tell whether a customer is going to churn?
It's not so difficult.
You must identify your "at-risk" clients.
If your customers are churning, they are probably not using your product as much as they used to.
It is crucial that you do everything you can to re-engage those customers.
Here's where segmentation comes in. You must segment your visitors depending on their progress, activities, and achievements.
That way, it will be easier to send them personalized videos in order to re-engage them.
You can ask them if they are achieving their goals or why they are inactive and if they need your help.
And even if they churn, send them a “Goodbye” video telling them you’re sorry they’re leaving and asking why they leave. You will use those feedback to improve your product and reduce churn.
In conclusion, customers churn and that’s a fact.
But with the right strategy, you can reduce your churn rate and boost your customer loyalty.
Here are the most important key takeaways to remember:
- Engage with your customers
- Build trust with personalized videos
- Show that you're human
- Be sure to solve your customers' problems
- Collect feedback and insights
- Use segmentation to identify your "at-risk clients"
- Re-engage inactive customers
These are the ways to lower your churn rate and make more money.
It's as easy as that. 😁